Analysts believe Cambodia’s economy is set to match or surpass the International Monetary Fund’s forecast of 4.5 to 5 percent economic growth this year.
On Friday, the IMF issued its latest prediction for the Kingdom’s gross domestic product. Highlighting the role of anticorruption laws in improving international competitiveness and reducing business costs, senior economist at IMF’s Asia and Pacific department Olaf Unterroberdoerster said inflation, measured by the Consumer Price Index, was estimated at 4 percent in 2010.
GDP growth for 2011 and 2012 was forecast at about 6 to 7 percent.
He said that gains in tax collection offered the best hope to meet the dual objectives of securing fiscal sustainability and mobilising resources for development.
Other analysts welcomed the IMFs comments, and many were even more positive.
Senior researcher for the Economic Institute of Cambodia Neou Seiha said the forecast may yet be exceeded, predicting economic growth would increase from through November.
Bretton Sciaroni, Senior Partner of Sciaroni & Associates, agreed, highlighting growth potential in agriculture, tourism and garments.